hard market News

To Manage the Cycle Effectively, Focus on Underwriters’ Behavior

Executive summary: When actual prices line up with technical prices, insurers expect underwriting profits to emerge. But what if underwriters find ways to adjust technical prices downwards? In the second part of a two-part series, Tony Buckle and John Carolin, …

Soft Commercial Market Ahead: Prepare for Underwriter ‘Herd Behavior’

Executive Summary: During the period 2013 through 2018, the U.S. did not become less litigious nor did Atlantic sea surface temperatures get less warm. Yet rates for U.S. excess liability and Atlantic hurricane both reduced, observe the co-founders of UWX. …

Hard Market ‘Supercycle’ Likely to Be Prolonged: Lloyd’s CEO Neal

Now that the market has achieved a first-half profit of £4.9 billion with a combined ratio of 83.7—its best interim results in 17 years—does this mean the hard market cycle is ending? During a media briefing to discuss Lloyd’s results, …

Hard Reinsurance Prices Likely to Last Longer Than in Previous Market Cycles: Report

Hard reinsurance pricing conditions are likely to last longer than in previous market cycles mainly due to persistently high claims activity from the accumulation of medium-sized disaster losses and secondary perils, according to an AM Best report. As a result, …

What Latest Ivans Index Shows About Commercial Lines Renewal Rate Changes

All major commercial lines premium renewal rates were higher in July than in June, except commercial property which decreased, according to the latest monthly Ivans Index. Year over year, commercial auto, business owners, general liability, commercial property and umbrella experienced …

Global Q2 Commercial Insurance Rates Remain Flat, Ending 7 Years of Price Hikes: Marsh

Global commercial insurance rates remained flat during the second quarter of 2024 (down from a 1% increase in Q1 2024), according to Marsh’s Global Insurance Market Index. The findings mark the first time in nearly seven years – since the …

What’s to Come in 2024: AI Expansion, More Catastrophes, Network Consolidation

No one can predict the future, but insurance professionals are likely the best qualified when it comes to predicting risk. For this special report, Insurance Journal magazine asked industry thought leaders their predictions for the property/casualty world in 2024 and …

Reinsurance Market Likely to Begin Softening in 2025 as Capacity Rises in 2024: Fitch

Reinsurers’ underwriting margins are expected to peak in 2024 on the significant price rises and tighter terms and conditions achieved during 2023 and in the January 2024 renewals, which will likely lead to softer market conditions in 2025, according to …

Reinsurers’ Casualty Appetites Varied, but Capacity Was ‘Ample’ During 1/1 Renewals

Reinsurers had varied appetites for casualty reinsurance during the January 2024 renewals; while capacity was sufficient, they still maintained underwriting discipline, according to reinsurance brokers in their renewal reports. “Some reinsurers adopted a tougher stance ahead of the January 2024 …

Prepare for the Soft Market: Why You Need to Set Performance Metrics Now

Executive Summary: Companies need to enact long-term performance measurement and strategies for underwriting discipline across the underwriting cycle because evidence suggests underwriters will not impose it themselves, according to Tony Buckle and John Carolin, co-founders of the boutique insurance consultancy …